The Future of Cryptocurrency: What Lies Ahead

The Ethereum value has persisted in a downtrend, not managing to surpass the $3,250 threshold. ETH plummeted beneath the $3,000 mark, at one point probing the $2,850 territory.

• Ethereum initiated a renewed downward trajectory slipping past the $3,120 and $3,000 thresholds.
• The price is persistently below $3,000 as well as beneath the 100-hourly Simple Moving Average.
• A significant descending trend line is forming with resistance approaching $3,000 on the hourly chart for the ETH/USD pair (data feed courtesy of Kraken).
• While the pair might experience a mild recovery, any uptrends are likely to face a cap near the $3,120 area.

Ethereum Price Plummets by 8%

Ethereum’s price was incapable of initiating a rebound above the resistance levels of $3,150 and $3,200, resembling the downturn seen in Bitcoin. A downward trend ensued as support levels of $3,120, $3,050 and $3,000 were breached.

An 8% decrease led ETH to examine the $2,850 support, bottoming out at $2,862, and it is currently in a consolidation phase. Numerous bearish signs persist as the price trades significantly below the 23.6% Fib retracement level of the recent fall from the $3,425 high to the $2,860 trough.

Trading beneath both $3,000 and the 100-hourly Simple Moving Average, Ethereum might encounter resistance around the $2,960 level if it attempts to recover. The primary resistance is situated near $3,000.

The aforementioned bearish trend line on the ETH/USD hourly chart offers resistance close to $3,000. The next notable barrier lies around the $3,120 level or 50% Fib retracement of the plunge from the $3,425 high to the $2,860 low.

A successful advance above the $3,120 mark could propel Ethereum toward the $3,200 resistance. A more significant hurdle lies at $3,250, where an upward breach could extend gains to the vicinity of $3,350.

Potential Further Declines for ETH?

Should Ethereum fail to surmount the $3,000 resistance level, it might proceed with its downward course. The initial downside safeguard is positioned near $2,850, with a crucial line of support at the $2,800 juncture.

A definitive descent below the $2,800 support threshold may drive the price down to the $2,720 area. Any additional downtrends could pull Ethereum’s value down to about $2,650 shortly.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is intensifying within the bearish territory.

Hourly RSI – The RSI for ETH/USD has plummeted underneath the 50 mark.

Major Support Level – $2,850

Major Resistance Level – $3,000